Dominion Resources Earnings: Revenue Off the Mark

Dominion Resources, Inc. (NYSE:D) delivered a profit and met Wall Street’s expectations, AND came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are down 0.81%.

Results: Net income increased 99% to $400 million (69 cents per diluted share) in the quarter versus a net gain of $201 million in the year-earlier quarter.

Revenue: Decreased 0.25% to $3.17 billion from the year-earlier quarter.

Actual vs. Wall St. Expectations: Dominion Resources, Inc. reported adjusted net income of 69 cents per share. By that measure, the company met the mean analyst estimate of $0.69. It missed the average revenue estimate of $3.74 billion.

Quoting Management: Thomas F. Farrell II, Chairman, President and CEO, said, “2012 was a year of significant accomplishments for Dominion. Several major capital projects were completed, significant progress was made on others and we worked to advance the next round of infrastructure growth..In our Generation segment last year, the 585-megawatt Virginia City Hybrid Energy Center was placed into commercial operation on schedule and on budget after four years of construction. Construction continues on schedule for the 1,329-megawatt, gas-fired power station in Warren County, Va. The approximately $1.1 billion project is scheduled for completion in late 2014. Progress continues on the development of a similar-sized combined-cycle facility, the Brunswick County Power Station. We recently filed for regulatory approval with the Virginia State Corporation Commission and, pending approval, expect commercial operation in 2016. The coal-to-biomass conversions of Altavista, Southampton, and Hopewell are proceeding on schedule and are projected to come online by the end of this year. Also, we recently filed an application for a coal-to-natural gas conversion of our 227-megawatt Bremo Power Station. Commercial operation is expected in 2014, pending regulatory approval…